EPCM refers to Engineering, Procurement, and Construction Management.

It is a common form of contracting arrangement within the construction industry. In an EPCM arrangement, the client, in order to involve an experienced player in large projects, selects an EPCM contractor who manages the whole project on behalf of the client. The EPCM contractor essentially ensures that the whole project is completed as required and in time.

Normally, an EPCM contractor completes the basic work such as site surveys, getting clearances from authorities, doing the basic engineering and preparing the site for the EPC contractors. It further chooses the EPC contractors and ensures the timely completion of the project.

An EPCM contract is a natural progression for a EPC contractor as, if one is able to do an EPC of a project then getting a bigger EPCM job is advantageous. It helps to tap the already present competencies while ensuring better control over the project. Also, the value of the project managed through an EPCM contract is far greater than the individual EPC contracts.